The news: Canadian shoppers are more price-conscious this holiday season, but their willingness to pay a premium for Canadian-made products continues to grow, per PwC Canada’s 2026 Holiday Outlook.

• Canadian consumers will be on the hunt for discounts and promotions, with 75% saying they’re taking steps to stretch their budgets and 69% planning to buy less expensive alternatives.
• At the same time, 54% say they would pay more for a comparable Canadian-made product, up from 49% last year.

Overall, Canadians expect to spend an average of C$1,487 (US$1,064) on holiday gifts, travel, and entertainment.

Why it matters: While survey responses don’t always align with actions, they can reveal shifting priorities. Just over 10% plan to shop cross-border this holiday season, per PwC, down considerably from 20% in 2024, before the Trump administration took office and the trade war began.

Meanwhile, 72% plan to actively seek alternatives to US-made products when holiday shopping. That suggests domestic origin can give retailers and brands an edge, even as affordability remains a key consideration.

Recommendations for retailers and brands: Canadians’ growing preference for domestic products presents an opportunity for local retailers and brands to differentiate themselves. But price still matters: 43% of Canadian adults say they’ll buy Canadian for some products but choose cheaper alternatives for others, while another 19% say they’ll buy Canadian regardless of price, per Abacus Data. That suggests domestic origin can be a competitive advantage, provided retailers and brands account for consumers’ budget constraints.

To capitalize on that preference:

• Retailers should make Canadian-made products more visible through product placement, curated assortments, and clear in-store and online signage.
• Brands should highlight Canadian production in their marketing and advertising, as well as on their packaging.

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